KCB Profit Rises to KSh 68.4 Billion as Lending and Deposits Expand Across East Africa
KCB Group Plc has reported strong financial results for the year ending December 2025, with profits, lending, and deposits all increasing across its regional operations.
The bank recorded a net profit of KSh 68.4 billion. This marks an increase of about 11 percent compared to the previous year. The results show steady growth in the bank’s core business activities including lending, customer transactions, and digital banking services.
Total income also grew during the year. The group reported revenues of KSh 214 billion compared to KSh 204 billion recorded in the previous financial year. Higher interest income and increased activity from digital banking channels supported the rise in revenues.
The bank’s balance sheet expanded significantly during the period. Total assets grew to KSh 2.15 trillion, representing an increase of about 9.3 percent compared to the previous year. The growth reflects increased lending to customers and rising deposits across the bank’s markets.
Customer lending was one of the key drivers of growth. Loans increased by about 15 percent to reach KSh 1.59 trillion. In the previous year the loan book stood at a lower level. The growth indicates rising demand for credit among businesses and households across sectors such as trade, agriculture, manufacturing, and small business financing.
Customer deposits also increased strongly during the year. Deposits rose by about 15 percent to close at KSh 1.59 trillion. The growth signals stronger customer confidence and higher savings levels among individuals and businesses that bank with KCB.
Regional subsidiaries continued to play a significant role in the group’s performance. Operations outside Kenya contributed about 30.7 percent of profit before tax and about 30.5 percent of the group’s balance sheet. This highlights the increasing importance of the bank’s operations in countries such as Uganda, Tanzania, Rwanda, Burundi, South Sudan, and the Democratic Republic of Congo.
Non banking subsidiaries also delivered improved results. The bancassurance business reported profits of about KSh 1.14 billion. The investment banking arm recorded profits of KSh 348 million while the asset management business generated about KSh 160 million.
Cost control also improved during the financial year. Operating expenses declined by about 2.5 percent compared to the previous year. The bank’s cost to income ratio improved to about 42.5 percent from 45.4 percent recorded the year before. Lower operating costs helped the group retain more of its income as profit.
Asset quality also improved. The ratio of non performing loans dropped to about 16.9 percent compared to 19.2 percent the previous year. The stock of non performing loans declined to about KSh 211.8 billion from more than KSh 225 billion the previous year. Loan recovery efforts and restructuring of troubled loans contributed to the improvement.
The bank maintained strong capital levels throughout the year. Core capital stood at about 18.4 percent of risk weighted assets while total capital reached about 22.1 percent. Liquidity remained strong at about 50.8 percent, well above regulatory minimum requirements.
Shareholders are also set to benefit from the improved financial performance. The board has proposed a final dividend of KSh 3 per share. Earlier in the year the bank paid an interim dividend of KSh 4 per share. This brings the total dividend payout for the year to KSh 7 per share, translating to a total distribution of about KSh 22 billion to shareholders.
During the year the group also pursued several strategic initiatives aimed at strengthening its position in digital banking and trade finance. One of the key developments was securing a financing facility of about 150 million dollars from the African Development Bank to support green investment and trade finance projects.
The bank also entered into an agreement to invest in payments technology firm Pesapal. The move is expected to expand digital payment services and support businesses operating across Africa.
KCB also launched a unified mobile banking application designed to offer payments, savings, and investment services through a single platform. The new application is part of the bank’s broader digital banking expansion.
Beyond financial performance, the bank also continued to support national events and community initiatives. KCB committed about KSh 227 million to sponsor the Safari Rally in Nakuru, marking the sixth consecutive year of sponsorship since the rally returned to Kenya.
Looking ahead, the bank expects business activity across East Africa to remain strong despite global economic uncertainties. Its leadership says the group will continue expanding lending, strengthening digital banking services, and supporting economic growth across the region.
